Calnex Solutions Returns to Growth in FY25
Why we think this is good
Calnex Solutions has reported a return to growth in FY25, with 12% revenue growth and an improved gross margin. The company's balance sheet remains robust, with a strong cash position. While the RNS notes some ongoing challenges in the telecoms market, the overall sentiment is positive, with the company confident in continued growth in FY26.
Key Points
- Returned to growth in FY25, with 12% revenue increase to £18.3m
- Improved gross margin and robust balance sheet, with £10.9m cash
- Successful launch of new Paragon-neo product and increased orders for Network and Applications Assurance products
- Confident in continued growth in FY26
Summary
Calnex Solutions plc, a leading provider of test and measurement solutions for the global telecommunications and cloud computing markets, has reported a return to growth in FY25. Revenues grew 12% to approximately £18.3m (FY24: £16.3m) and the company achieved an improved gross margin, reflecting increased revenue volumes and product mix. The Group's balance sheet remains robust, with cash of £10.9m as at 31 March 2025. Growth has been driven by successful execution of the product expansion strategy, with the launch of the new Paragon-neo product stimulating revenue growth. Orders for Calnex's Network and Applications Assurance products have also increased, driven by demand from the cloud computing, defence and government, satellite and enterprise sectors.